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Sony Loses Playstation Suit

March 29, 2005

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The fate of Sony's Playstation system is in doubt after a U.S. District Court judge in California ruled against Sony in a patent infringement case.

Immersion Corporation, a developer of touch feedback technology, was awarded $82 million in past damages based on sales of infringing products through June 30, 2004, plus pre-judgment interest in the amount of $8.7 million, for a total of $90.7 million.

In addition, the court issued a permanent injunction against the manufacture, use, sale, or import into the United States of the infringing Sony PlayStation system including PlayStation consoles, Dual Shock controllers, and the 47 games found by the jury to infringe Immersion's patents. The Court stayed the permanent injunction pending appeal.

At the same time, the Court found in favor of Immersion on Sony's allegations of inequitable conduct during the prosecution of one of the patents asserted against Sony.

In a matter related to the Sony lawsuit, the Court entered an order dismissing certain of the claims brought by Internet Services against Immersion with prejudice and certain claims without prejudice.

"The Court's entry of judgment implements last September's jury verdict and the damages award," said Immersion CEO Victor Viegas. "The Court-ordered permanent injunction to stop the shipment and sale of infringing products in the U.S. is an important indicator of the strength of our case and the potential risks involved in this litigation."

Immersion holds more than 270 patents in its worldwide intellectual property portfolio and has more than 280 patent applications pending. The company also has licensees in the automotive, gaming, medical, mobility, and other markets.

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